HP to upgrade infrastructure of industrial towns

After losing some of the major investment projects to Uttaranchal, Himachal Pradesh has finally decided to upgrade the existing infrastructure in the upcoming industrial towns located at the Shivalik foothills.

The state government has constituted Baddi-Barotiwala-Nalagarh Development Authority, headed by the Chief Minister, to address to the issues pertaining to the industrial development.

Talking to Business Standard the chief executive officer of the newly constituted body, Amandeep Garg said the new concept of development has been evolved on the pattern of industrial development of Noida and Gurgaon.

"The single window operation of various industrial activities would be facilitated through this body, this would check the unnecessary hurdles and delays in their approvals," he said. The authority has been notified in the Town and Country Planning Act of the state. This would focus on the institutional, commercial, industrial and development of the region.

The state government would also hire private consultants to prepare a framework for the conducive development of the region. After the announcement of the tax concessions for the new industries in the hill states many towns in Himachal like Una, Kala Amb, Poanta Sahib and Parwanoo caught the attention of potential investors. But the Baddi-Barotiwala-Nalagarh belt was preferred by the investors due to its suitable location and climate. Out of the total investment of Rs 20,000 crore drawn by the state in last three years, the region cornered more than Rs 11,000 crore of fresh investment taking a lead over the other town.

But this put excessive pressure on the infrastructure which was not only obsolete but also inadequate for the volume of business generated in the region.

The apathy of the state machinery towards the infrastructure development diverted large corporate houses like Hero Motors and Tata Motors to Uttaranchal.

Some of the existing units also relocated their operations in Uttaranchal. But this proved a blessing in disguise for the established units as the government, which was till date turning a deaf ear to their problems, contemplated forming local development authority.

Industry observers surmised that the same could be replicated in the other industrial towns facing the same plight.

Though things are yet to take a concrete shape, Garg said certain specified funds would be generated by the state government. Other parameters would be decided by consulting various stake holders like industry associations and panchayats.

"Our priority areas would be improvement to accessibility to Baddi, relocation of excise barriers, road infrastructure with in the town, drainage system and removal of encroachments," added Garg.